A Defense Acquisition Program Administration (DAPA) official accused of manipulating evaluations in favor of a defense contractor in exchange for hundreds of millions of won in bribes has admitted the charges in court, along with three individuals accused of helping launder the money.
The Suwon District Court's Criminal Division 11 held the first preparatory hearing on the case on the 25th for A, a fifth-grade DAPA official who was indicted in custody on charges including bribery under the Act on the Aggravated Punishment of Specific Crimes.
A's legal team told the court that he "admits to the charges." The three other defendants, including the head of a subcontracting company who were indicted without detention, also acknowledged the charges against them.
According to prosecutors, A served as an evaluator for six defense procurement proposals from late 2021 through the end of last year. He is accused of manipulating the evaluations to favor a particular company in exchange for 320 million won ($230,000) in bribes.
A is also accused of receiving the right to recommend subcontractors for service contracts worth approximately 2.2 billion won.
The three other defendants allegedly helped A receive the bribes by laundering the money through sham service or consulting contracts between companies. Prosecutors believe the funds were concealed and transferred through multiple layers of transactions.
The case centers on a major defense project involving LIG D&A. Prosecutors suspect that LIG D&A secured a key technology development project for a "Korean electronic warfare aircraft," valued at approximately 1.7 trillion won, based on manipulated evaluations.
Earlier, LIG D&A executive B was indicted in custody on charges of soliciting A to provide favorable evaluations and giving him bribes. Another executive, C, was indicted without detention on similar bribery charges. No specific trial dates have yet been set for the two executives.
LIG D&A has denied the allegations. In a statement, the company said the electronic warfare aircraft project was selected through a fair evaluation process and that it won by a significant margin over competing bidders. The company also maintained that the electronic warfare aircraft system development project is unrelated to the allegations in the case.
The upcoming trial is expected to focus on whether A improperly intervened in the evaluation process, whether the alleged bribes were given in exchange for favorable evaluation results, and how the money was ultimately transferred after being laundered through intermediary contracts.
